Portions of the financial statements for Peach Computer are provided below.FEACH COMPUTER Income StatementFor the year ended December 31, 2015Net sales$1,575,000Expenses:Cost of goods sold$960,000Operating expenses470,000Depreciation expense41,000Income tax expense 31,000Total expenses1,502,000Net income$73,000PEACH COMPUTER Selected Balance Sheet DataDecember 31Total20152014Increase (I) or Decrease (D)Cash$93,000 $80,500 $12,500 (1)Accounts receivable 46,90053,5006,600 (D)Inventory66,00050,50015,500 (1)Prepaid rent2,1003,200 1,100 (D)Accounts payable36,000 32,500 3,500 (1)Income tax payable 4,1005,5001,400(D)Required:Prepare the operating activities section of the statement of cash flows for Peach Computer using the indirect method. (Listcash outflows and any decrease in cash as negative amounts.)

1. Start with Net Income:The net income for the year 2015 is given as $73,000. This is the starting…

Answered: Portions of the financial statements…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Income statement data for Bezos Company for the years ended December 31, 2014 and 2013, are as follows: 2014 2013 Sales $840,000 $600,000 Cost of goods sold 724,500 525,000 Gross profit $115,500 $75,000 Selling expenses $52,500 $37,500 Administrative expenses 41,400 30,000 Total operating expenses $93,900 $67,500 Income before income tax $21,600 $7,500 Income tax expense 10,800 2,700 Net income $10,800 $4,800 a. Prepare a comparative income statement with horizontal analysis, indicating the increase (decrease) for 2014 when compared with 2013. Round one to decimal place. b. What conclusion can be drawn from the horizontal analysis?
Portions of the financial statements for Peach Computer are provided below. PEACH COMPUTER Income Statement For the year ended December 31, 2024 Net sales Expenses: Cost of goods sold Operating expenses Depreciation expense Income tax expense Total expenses Net income Cash Accounts receivable Inventory Prepaid rent Accounts payable Income tax payable $990,000 500,000 44,000 34,000 PEACH COMPUTER Selected Balance Sheet Data December 31 2024 $96,000 46,600 69,000 2,400 39,000 4,400 2023 $82,000 52,000 52,000 3,800 34,000 7,000 $1,650,000 1,568,000 $82,000 Increase (I) or Decrease (D) $14,000 5,400 17,000 1,400 5,000 2,600 (I) (D) (I) (D) (I) (D)
The following are extracted from the financial statements of Shawn Co., for 2019, 2018, and 2017. 2019 $233,000 2018 $204,000 (110,000) (81,500) 2017 Net sales Cost of sales (124,000) (95,000) Selling and administrative expenses Other income: (3,700) (3,050) 1,175 $ 10,625 (4,740) 5,885 1,510 $ 7,395 Interest Other 100 Earnings before tax and extraordinary credit Provision for income tax Earnings before extraordinary credit Extraordinary credit $ 10,400 (4,800) 5,600 $ 5,600 Total assets $202,000 24,600 $173,000 $161,000 Long-term debt Common equity Preferred stock Preferred dividends 17,400 15,200 112,800 123,000 4,000 280 116,800 4,000 4,000 280 280 Required: Compute the following ratios for Shawn Co. for 2019 and 2018. Net profit margin 1. 2. Total asset turnover 3. Return on assets 4. Return on investment Return on total equity Return on common equity Gross profit margin 5. 6. 7. Discuss the trend in profitability and identify specific causes for the trend.
E14-23 (similar to) Question Help Trainer Exercise Equipment, Inc. reported the following financial statements for 2018, E (Click the icon to view the income statement.) F (Click the icon to view the comparative balance sheet.) Read the requirements. Requirement 1. Compute the amount of Trainer Exercise's acquisition of plant assets Trainer Exercise disposed of plant assets at book value. The cost and accumulated depreciation of the disposed asset was $40,500. No cash was received upon disposal, The acquisitions of plant assets amounts to
Coleman, Inc. provides the following data from its Income Statement for 2018: Net Sales $ 560,000.00 Cost of Goods Sold $ (160,000.00) Gross Profit $ 400,000.00 Calculate the gross profit percentage. (round your answer to two decimal places) A 71.43% B 25.00% C 100.00% D 28.57%
Using the information provided, what is the length of the production cycle for the firm? Allied Industries, Inc. Selected Income Statement Items, 2017 Cash Sales $1,500,000 Credit Sales $7,500,000 Total Sales $9,000,000 COGS $6,000,000 Allied Industries, Inc. Selected Balance Sheet Accounts 12/31/201712/31/2016Change Accounts Receivable $270,000 $240,000 $30,000 Inventory $125,000 $100,000 $25,000 Accounts Payable $110,000 $90,000 $20,000
Changes in Various RatiosPresented below is selected information for Brimmer Company: 2013 2012 Sales revenue $911,000 $840,000 Cost of goods sold 576,000 542,000 Interest expense 21,000 20,000 Income tax expense 28,000 24,000 Net income 62,000 52,000 Cash flow from operating activities 66,000 55,000 Capital expenditures 43,000 45,000 Accounts receivable (net), December 31 127,000 120,000 Inventory, December 31 197,000 160,000 Stockholders' equity, December 31 451,000 400,000 Total assets, December 31 731,000 660,000 RequiredCalculate the following ratios for 2013. The 2012 results are given for comparative purposes. Round answers to one decimal place. Use 365 days in a year. 2012 2013 1. Gross profit percentage 35.5% Answer % 2. Return on assets 8.3% Answer % 3. Return on sales 6.2% Answer % 4. Return on common stockholders' equity (no preferred stock was outstanding) 13.9% Answer % 5. Accounts receivable…
Metlock, Inc. has the following Income Statement (in millions): METLOCK, INC. Income Statement For the Year Ended December 31, 2023 Net Sales $178 Cost of Goods Sold 119 Gross Profit 59 Operating Expenses 40 Net Income $ 19 Using vertical analysis, what percentage is assigned to net sales? 100% 50% Can't be computed 150%

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